Costs per Equivalent Unit The following information concerns production in the Baking Department for March. All direct...

80.2K

Verified Solution

Question

Accounting

Costs per Equivalent Unit
The following information concerns production in the BakingDepartment for March. All direct materials are placed in process atthe beginning of production.
ACCOUNT Work in Process—BakingDepartment ACCOUNT NO.
Date Item Debit Credit Balance
Debit Credit
Mar. 1 Bal., 6,000 units, 2/5 completed 12,600
31 Direct materials, 108,000 units 194,400 207,000
31 Direct labor 55,760 262,760
31 Factory overhead 31,360 294,120
31 Goods finished, 109,500 units 284,580 9,540
31 Bal. ? units, 2/5 completed 9,540
a. Based on the above data, determine each costlisted below. Round "cost per equivalent unit" answers to thenearest cent.
1. Direct materials cost per equivalent unit $
2. Conversion cost per equivalent unit $
3. Cost of the beginning work in process completed duringMarch $
4. Cost of units started and completed during March $
5. Cost of the ending work in process $
b. Assuming that the direct materials cost isthe same for February and March, did the conversion cost perequivalent unit increase, decrease, or remain the same inMarch?

Answer & Explanation Solved by verified expert

3.9 Ratings (446 Votes)

Equivalent Units Whole Units Direct Materials Conversion Inventory in process March 1 6000 0 3600 Started and completed in March 103500 103500 103500 Transferred to Finished goods in March 109500 103500 107100 Inventory in process March 31 4500 4500 1800 Total units to be assigned costs 114000 108000 See Answer

Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:

Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!

Become a Member

ACCOUNT Work in Process—BakingDepartment					ACCOUNT NO.
Date		Item	Debit	Credit	Balance
Date		Item	Debit	Credit	Debit	Credit
Mar.	1	Bal., 6,000 units, 2/5 completed			12,600
	31	Direct materials, 108,000 units	194,400		207,000
	31	Direct labor	55,760		262,760
	31	Factory overhead	31,360		294,120
	31	Goods finished, 109,500 units		284,580	9,540
	31	Bal. ? units, 2/5 completed			9,540

1. Direct materials cost per equivalent unit	$
2. Conversion cost per equivalent unit	$
3. Cost of the beginning work in process completed duringMarch	$
4. Cost of units started and completed during March	$
5. Cost of the ending work in process	$